Horizon Lines reports 1st quarter loss

Horizon Lines reports 1st quarter loss    Horizon Lines reported a net loss of $10 million in the first quarter compared to a profit of $726,000 in the same 2008 period.
   The company said the loss was caused, in part, by antitrust related legal expenses totaling $4.4 million related to the Department of Justice antitrust investigation of price fixing in the Jones Act shipping industry and related litigation.
   The carrier said it had revenue of $272.4 million in the period compared to    $305.9 million in the same 2008 period.

Raymond

   Chuck Raymond, chairman, president and chief executive, said performance was “slightly above our expectations, due to improved unit revenue, net of fuel, lower net fuel expense, reduced overhead and improved equipment expense, which more than offset a volume shortfall and non-transportation revenue deficit.
   “As anticipated, volume declines during the quarter exceeded historic seasonal softness due to the continued sharp slowdown of our Hawaii market, ongoing economic stagnation in Puerto Rico, and a severe winter in Alaska,” Raymond said. “We achieved a revenue per container rate increase of 3.3 percent, net of fuel, helping to partially offset the soft volume and contractual expense increases.
   “As we look forward, we expect continued modest container rate increases, lower fuel prices and other costs reductions to help offset anticipated slight volume declines for the year,” Raymond said. “Our market shares appear to be holding steady in all three trade lanes as we remain focused on customer service excellence, while continuing to drive costs out of our business.
   He said a loss by the company’s logistics business during the quarter was expected and said, “We are optimistic that results will improve throughout the remainder of the year, however, as logistics continues to build its pipeline of new business.”